We are using OSP cycle for india localization for R12 implementation.
When we receive items wip move transaction is not automatically happening and moving parts from OSP operation que to next operation que.
resource charge type is already set to PO MOve.

Can some one please let me know any keysetup is missing for localization as I am new to localization OSP cycle.

Triggering Move Transaction from PO REceipt is not dependent on any India Localization setup.
Check following things:
1. check receipt routing on item and po, if it is inspectiion or standard, you will need to do an explicit deliver transaction to shopfloor.
2. Check if the WIP Move Transaction Manager is active. (Inventory -> Setup -> Transaction -> Interface Manager : 4th record)
if not, goto tools -> Launch and schedule it to run every 5 min.